TABC Rules §50.1 – 50.11

§50.1. Purpose.

The purpose of this subchapter is:
    (1)  to establish the minimum substantive and procedural requirements for approval of seller training programs as authorized by the Texas Alcoholic Beverage Code, §106.14;
    (2)  to establish eligibility, requirements, and procedures for conducting seller training programs;
    (3)  to establish eligibility, requirements, and procedures for certification of trainers and employees by the commission;
    (4)  to establish requirements and procedures calculated to modify behavior of trainees; and
    (5)  to establish requirements calculated to deter future violations of the Texas Alcoholic Beverage Code by the licensees or permittees.

Note: Amendments Adopted: April 24, 2000; Effective Date: May 30, 2000

§50.2. Definitions and Construction.

 (a)  The following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates otherwise.
    (1)  Customer--A person, patron or member of an establishment where the certified trainee is an agent or employee. The term is not limited to persons who have been sold or served alcoholic beverages by an agent or employee of the establishment.
    (2)  Intoxication--As that term is defined in the Texas Penal Code, §49.01, to wit:
        (A) not having the normal use of mental or physical faculties by reason of the introduction of alcohol, a controlled substance, a drug, or a combination of two or more of those substances into the body; or
        (B) having an alcohol concentration of 0.08 or more. (Alcohol concentration means: the number of grams of alcohol per 100 milliliters of blood; the number of grams of alcohol per 210 liters of breath; or the number of grams of alcohol per 67 milliliters of urine.)
    (3)  Program--Seller training program, as that term is used in the Texas Alcoholic Beverage Code, §106.14.
    (4)  Employee--One who sells, serves, dispenses or delivers alcoholic beverages under the authority of a license or permit, including persons who immediately manage, direct, supervise, or control the sale or service of alcoholic beverages. Employee does not include officers of a corporate permittee/licensee who do not manage, direct, supervise or control the sale or service of alcoholic beverages.
    (5)  Student or trainee–An employee attending or participating in a seller training program.
 (b)  Each word and term used in this chapter shall have the meaning given to it by:
    (1)  a definition in this chapter; or
    (2)  a definition in the Texas Alcoholic Beverage Code; or
    (3)  a definition in the Texas Penal Code, Titles 1, 2, or 3; or
    (4)  the common dictionary definition.
 (c)  The amendments to this rule adopted on April 24, 2000, shall become effective on September 1, 2000.

Note: Amendments Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.3. Application for Program Approval.

 (a)  Application for program approval shall be made by the person, corporation or other entity who will administer and supervise the actual teaching of the program to Texas employees. The commission specifically finds that the training entity or school is an inseparable part of the seller training program. The integrity and ability of the people directly engaged in the administration, supervision and training of the curriculum to seller trainees are an integral part of the program contemplated by the Texas Alcoholic Beverage Code, §106.14. Therefore, a curriculum, alone, is not eligible for approval.
 (b)  Application for approval shall be made on forms provided by the commission.
 (c)  No licensee or permittee, or his spouse, agent, servant, or employee, or any subsidiary or affiliate, may directly or indirectly conduct, sponsor, or support a seller training program approved under this chapter except as provided in the Texas Alcoholic Beverage Code, §106.14(c) and (d).
 (d)  A licensee or permittee may be a member of an advisory board, but not the governing board of a nonprofit agency which sponsors a seller training program.
 (e)  A bona fide state retail trade association qualified under this section may train personnel of its own regular membership and non-members of the retail alcoholic beverage industry. For the purposes of this subsection, package stores which hold local distributor's permits, and private clubs, shall be considered to be retailers. State retail trade associations may also train individual members of the general public. To qualify under this subsection a retail trade association must:
    (1)  be an organization whose retail members employ at least 150 persons at anyone time during the calendar year who sell, serve, or prepare alcoholic beverages;
    (2)  not be composed of more than 50% of the retail members of a particular retail chain;
    (3)  not be composed of more than 50% of the trainable employees from a particular retail chain.
 (f)  Persons engaged in the manufacturing or wholesaling of alcoholic beverages for national distribution may contribute to the development of a curriculum of seller training being developed for national use; provided, that any such contribution or involvement shall not be directly or indirectly tied to the actual offering of training to employees of any retailer, group of retailers, or the general public. Such involvement by an alcoholic beverage manufacturer shall be in a primarily noncommercial manner consistent with the spirit and intent of the provisions of the Texas Alcoholic Beverage Code and the rules of the commission prohibiting the tied-house and prohibiting the furnishing of things of value to a retailer of alcoholic beverages.
 (g)  No licensee, permittee, or other person engaged in the manufacturing or wholesaling level of the alcoholic beverage industry, or any agent, servant, or employee of any of those, may directly or indirectly conduct or sponsor a seller training program for retail level employees or members of the general public.
 (h)  Each application shall be accompanied by a full and complete copy of the curriculum, including a copy of all materials to be used therewith, including workbooks, videos, handouts, and examinations as required by the commission. The curriculum and other materials shall be indexed and labeled in detail to indicate the location of all of the requirements for program approval specified in this chapter. The amount of time allocated to cover each segment of the curriculum shall be specified with a minimum of 200 minutes of instruction required excluding breaks and the exam. Programs utilizing a different format from lecturing will be evaluated case by case. Each application shall also be accompanied by a trainer development program which includes a minimum of 12 hours of study time, 12 hours of observation and 12 hours of practice teaching in front of an audience. The initial trainer for a school-program may substitute the 12 hours of observation for an additional 12 hours of practice teaching (with or without a live audience).
 (i)  The program shall include:
    (1)  §50.2(a)(2) of this title (relating to the Definition of Intoxication);
    (2)  the law pertaining to intoxicated persons. Each approved seller training program shall review and explain all provisions of the Texas Alcoholic Beverage Code pertaining to intoxicated persons and provisions of the Texas Penal Code pertaining to public intoxication and shall include a discussion of any significant court decisions or opinions of the attorney general of Texas which the administrator or administrator’s designee may from time to time determine to be appropriate;
    (3)  the law pertaining to minors. Each approved seller training program shall review and explain all provisions of the Texas Alcoholic Beverage Code relating to the sale or service of alcoholic beverages to minors, the provisions of the code relating to purchase, possession or consumption of alcoholic beverages by minors and the provisions of the code relating to a person making alcoholic beverages available to a minor or permitting a minor to possess or consume alcoholic beverages and shall include a discussion of any significant court decisions or opinions of the attorney general of Texas which the administrator or administrator’s designee may from time to time determine to be appropriate;
    (4)  the law pertaining to proper identification. Each approved seller training program shall review and explain the Texas laws pertaining to false, counterfeit, or deceptively similar identification documents including, specifically, the Texas Transportation Code, §§521.121, 521.123, 521.451, 521.453, 521.454, 521.456 and 521.461, and shall include a discussion of any significant court decisions or opinions of the attorney general of Texas which the administrator or administrator’s designee may from time to time determine to be appropriate;
    (5)  detection of intoxication.
        (A)  Each approved seller training program shall explain how to detect possible intoxication. It shall describe the common indicators including, but not limited to, slurred speech, mental confusion, impaired balance, impaired motor ability, bloodshot eyes, the smell of alcoholic beverages on the breath, dishevelment, nausea and signs of lost control of bladder or bowels. The program shall note that an intoxicated person may sometimes display none of the common indicators. It shall describe ways to detect an atypical intoxicated person through methods such as drink counting, conversations calculated to reveal emotional stability or common indicators which might not otherwise be manifest.
        (B)  Students shall be made aware that serious illness can masquerade as intoxication. All students shall be instructed to recognize bracelet and necklace emblems of the Medic Alert Foundation and the significance of such identification;
    (6)  monitoring customer behavior.
        (A)  Each approved seller training program shall describe techniques for monitoring customer behavior for the purpose of implementing timely intervention pursuant to paragraphs (10) and (11) of this subsection (relating to Intervention Pertaining to Minors; and Intervention Pertaining to Intoxication). It shall describe methods to obtain appropriate information in a commercially acceptable manner, including:
            (i)  observing customer response during any conversations with the seller;
            (ii)  observing customer interaction with third parties;
            (iii)  observing the customer's initial mood and general conduct; and
            (iv)  observing any change in any of the customer behavior previously mentioned.
        (B)  Each program shall describe and explain typical warning signs that customer behavior may be degenerating toward illegal behavior. Such warning signs shall include:
            (i)  the development of any indicator of intoxication other than the smell of alcoholic beverages on the breath;
            (ii)  any continuing argument or physical confrontation with any person;
            (iii)  any rapid or pronounced change in mood or emotional state such as excessive euphoria, sadness, confusion, excitability or aggressiveness.
    (7)  physiology.
        (A)  Each approved seller training program shall include a basic explanation of how the human body reacts to the ingestion of beverage alcohol. It shall use simple language and concepts. It shall explain the effect of variables including body weight and type, gender, muscle/fat ratios, type and timing of food consumption, fatigue, and common diseases or disorders. It shall explain how alcohol can interact with many types of medicines and other drugs.
        (B)  Each program shall include a basic discussion of the types and amounts of social costs caused by alcohol abuse.
        (C)  Each program shall describe the Know Your Limits Chart developed by the Distilled Spirits Council of the United States, Inc., or a similar chart, and provide a copy of the chart.
        (D)  Each program shall include information concerning alcohol poisoning as a danger.
    (8)  detection of minors.
        (A)  Each approved seller training program shall explain techniques for determining if a customer is a minor. It shall explain the common signs of underage status including lack of physical maturity. It shall stress that most minors are mature in physical appearance before the age of 21, and that signs of physical maturity are not a reliable guide.
        (B)  Each program shall describe and explain conduct and mannerisms which might raise a suspicion of status as a minor. It shall include:
            (i)  a discussion of current fads and fashions in clothing, accessories, and grooming among minors;
            (ii)  a description, based upon authoritative sources, of behavior patterns characteristic of minors;
            (iii)  an explanation of how to look for suspicious behavior such as:
                (I)  a group of young-appearing persons pooling their money and giving it to the oldest-appearing member;
                (II)  a youthful appearing person waiting in the background away from the point of purchase or service while an adult obtains more than one serving; and
                (III)  prior observation that a particular adult has purchased for a youthful appearing person.
    (9)  identification.
        (A)  Each approved seller training program shall describe valid driver’s licenses and identification certificates issued by the Texas Department of Public Safety.
        (B)  Each approved seller training program shall explain how to detect invalid identification documents presented in an attempt to establish proof of adult status. This shall include counterfeit and altered official documents. It shall also include unofficial documents which are deceptively similar to official documents. Emphasis shall be placed on driver’s licenses and identification cards issued by the state of Texas and other states. Each program shall describe the most common types of counterfeiting and alteration and shall describe warning signs such as erasures, cut-and-paste numerals, substandard or inconsistent graphics and substandard lamination.
    (10)  intervention pertaining to minors.
        (A)  Each approved seller training program shall describe and explain techniques of intervention to prevent or terminate illegal sale, service, possession, or consumption regarding a minor.
        (B)  Such techniques shall include, when appropriate to the circumstances:
            (i) ask for and carefully examine an identification card;
            (ii) removal of the alcoholic beverages in a non-aggressive manner from the reach or sight of the offender;
            (iii) an explanation that the demeanor of the employee should never be such that is likely to provoke violence;
            (iv) an explanation of the obligation to notify law enforcement authorities in the event that intervention attempts fail;
            (v) specific examples of words and conduct which may be used in an attempt to avoid or terminate illegal activity amicably.
    (11)  intervention pertaining to intoxication.
        (A)  Each approved seller training program shall explain effective techniques of intervention with persons who are intoxicated or who appear to be becoming intoxicated. This part of the program is of considerable importance to the public peace and safety and shall therefore receive due emphasis. The program may take into account the fact that permittees, licensees, and their employees will generally desire to avoid alienating a customer whenever possible. Therefore, the program shall describe specific language and conduct of the employee which is calculated to terminate or avoid illegal behavior of the customer as amicably as possible.
        (B)  Such techniques shall include, when appropriate to the circumstances:
            (i) an explanation that the demeanor of the employee should never be such that is likely to provoke violence;
            (ii) removal of the alcoholic beverages in a non-aggressive manner from the reach or sight of the offender;
            (iii) specific examples of words and conduct which may be used in an attempt to avoid or terminate illegal activity amicably;
            (iv) an explanation of how to slow down service of alcoholic beverages;
            (v) a suggestion that food, snacks or alternative beverages be served and an explanation of the types of food most likely to slow or reduce intoxication.
        (C)  The student shall be made aware that coffee and other caffeine-containing products do not reduce intoxication, but may misleadingly appear to do so.
        (D)  The student shall be made aware of designated driver programs and shall be encouraged to provide such special services and courtesies to a designated driver as may be allowed by the student's employer.
        (E)  The student shall be made aware of the obligation to notify law enforcement authorities in the event that intervention attempts fail.
    (12)  sanctions for employee violations.
Each approved seller training program shall explain the requirements of §50.9 of this chapter.
    (13)  additional program content.
        (A)  The administrator or administrator’s designee is hereby delegated the authority to modify or add requirements for the content of approved seller training programs in addition to the requirements specified in this chapter.
        (B)  Any approved seller training program may contain any additional material except material which the administrator or administrator’s designee finds under the circumstances tends to be:
            (i) a substantial detraction from the effectiveness of the minimum program requirements; or
            (ii) a substantial detriment to the health, safety, or welfare of the general public or any segment thereof.
        (C)  Approved programs are encouraged to exceed the minimum requirements of program content and to develop new methods and techniques designed to fulfill the intent of the Texas Alcoholic Beverage Code, §106.14.
        (D)  Approved programs may describe and explain how to monitor and intervene in cases of drink tampering:
            (i) describe the types and effects of drugs used in drink tampering;
            (ii) describe monitoring methods; and
            (iii) describe intervention methods.
    (14)  appropriate testing of trainees in a form and manner adequate to demonstrate the effectiveness of the training program shall be required.
 (j)  Each application for an original program approval shall be accompanied by a payment in the amount of $1,000. Each subsequent renewal of a program is $500.
 (k)  Programs found to be acceptable under this chapter shall be approved in writing by the administrator or administrator’s designee in such form as he may deem to be appropriate.
 (l)  Approval shall be valid for a period of three years unless earlier revoked.
 (m)  A person commits an offense under the Texas Alcoholic Beverage Code, §101.61, if he falsely represents to any person that a program has been approved by the commission or administrator or administrator’s designee, or misleads any person into believing that a program is approved by the commission or administrator or administrator’s designee when, in fact, it is not.
 (n)  The developer of a curriculum, or his authorized agent, may for marketing purposes in the normal course of business represent that the basic curriculum is part of a Texas Alcoholic Beverage Commission approved program, provided such representation is, in fact, truthful.
 (o)  The amendments to paragraphs (a), (e), (h), (i), (j), (k), (m) and (n) of this rule, adopted on April 24, 2000, shall become effective on September 1, 2000.

Note: Amendments Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.4. Program Administration.

 (a)  The Texas Alcoholic Beverage Commission shall receive written notification, including electronic notification, from each school to schedule sessions. At least three-fourths of the session notices shall be received at least three business days prior to the session date for classes held each month. One-fourth of the session notices may be received less than three business days but no later than the next business day after the session is held. Schools which average four or less sessions per month may not exceed the one-fourth of the session notices being late over any fiscal year quarter, September through August. Said notice shall include the date, time, and location of each class and shall be received in the headquarters of the Texas Alcoholic Beverage Commission, P.O. Box 13127, Austin, Texas 78711 or local field office on forms prescribed by the commission. The commission must be notified by phone or fax of session cancellations prior to the actual session date except when cancellation cannot be anticipated before the session's scheduled start. When cancellation cannot be anticipated, the commission must be notified by the tenth day of the month for each session cancelled during the previous month.
 (b)  All training facilities shall meet the requirements of the Americans with Disabilities Act (ADA) and contain:
    (1)  adequate seating facilities for all students;
    (2)  appropriate space to ensure that visuals can be seen from all seating positions;
    (3)  private space to limit distractions;
    (4)  access to a restroom; and
    (5)  alcoholic beverages cannot be consumed by anyone attending the class instruction sessions or breaks.
 (c)  Sessions may be monitored unannounced to evaluate the program content, trainer presentation and the classroom environment.
 (d)  Programs approved for licensees/permittees or hotel management companies shall be limited to employees of the said licensee, permittee, or hotel management company.
 (e)  No class may exceed 50 trainees. Trainees who arrive more than 15 minutes after the start of the program session shall be denied admission to the session.
 (f)  The identity of each trainee must be verified by the trainer.
 (g)  The classroom presentation must be consistent with the approved program.
 (h)  Discussion must be pertinent to responsible alcoholic beverage sale and service.
 (i)  Each program session will be presented in a continuous block of instruction. While instruction may be interrupted for brief breaks, these should be limited in number and duration. The program must be presented in its entirety to each student in a language approved for use by the instructor.
 (j)  Each trainee is to be tested immediately following the conclusion of instruction at the program session he or she attends. Testing of session participants at any other place or time is prohibited unless previously approved as a part of the program.
 (k)  Each trainee must correctly answer at least 70% of the questions found on the test administered to him. Schools are encouraged to set higher completion standards. Trainees who receive failing scores may be immediately retested once. Otherwise, trainees must repeat the course in full.
 (l)  All tests shall be administered on a closed book basis.
 (m)  At the trainer's discretion the test may be offered in a language best understood by the trainee. Bilingual instructors may, in response to direct inquiries, clarify test questions using another language.
 (n)  Each test must be maintained by the school for a period of at least four years and be made available to the commission upon request.
 (o)  Reports of Seller Training shall be made by the training entity or school to the commission. Reports must be delivered or postmarked within 30 calendar days of the date on which the session was held upon forms prescribed and approved by the administrator or administrator’s designee.
 (p)  Each Report of Seller Training shall contain the certificate number, test score, name, social security number and date of birth of each student in that class who has successfully completed the training program and has passed the required test.
 (q)  The certified trainer who actually conducted the program shall personally sign the Report of Seller Training verifying that each designated student has successfully completed the program approved by the commission on the date indicated and shall verify such other facts as the administrator or administrator’s designee may from time to time direct.
 (r)  The certified trainer who actually conducted or administered the program shall personally sign the certificate and verify that all information entered on the certificate is correct. The certificate shall be issued to the appropriate trainee only after successful completion of the seller training program. Failure to comply with this requirement is grounds for revoking or suspending approval of the trainer’s certificate and seller training program administered by that school.
 (s)  The certificates shall not be issued to a school by the commission until the commission has received advance remittance of $2.00 per certificate. Certificates shall be issued by the commission upon written request of a school on forms provided by the commission together with the proper remittance. The commission shall issue certificates to any approved school only in quantities of at least 50 certificates at one time. If larger quantities are requested, the same shall be issued only in multiples of 50; provided, however, that the administrator’s designee is hereby empowered to authorize different multiples if necessary to conform with changes in the method of production of certificates.
    (1)  Any payment under this subsection which is dishonored must immediately be replaced by a cashier’s check, certified check or United States postal money order.
    (2)  Any training entity or school which has two dishonored payments within a 12 month period must make subsequent payments of this fee by a cashier’s check, certified check or United States postal money order until 12 months have elapsed since the last payment was dishonored.
    (3)  No refunds will be made on voided certificates. Certificates can only be used by the school to which they were issued by the commission.
    (4)  All seller training schools which have gone out of business shall surrender all unused certificates for a refund. This request shall be on a form prescribed and provided by the commission.
    (5)  The copies of all certificates issued shall be kept for a period of four years.
 (t)  The amendments to paragraphs (a), (b), (f), (o), (p), (q), (r) and (s) of this rule, adopted on April 24, 2000, shall become effective on September 1, 2000.

Note: Amendments Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.5. Denial, Revocation or Suspension of Program Approval.

 (a)  The administrator or administrator’s designee may deny approval of any program upon a finding that:
    (1)  the program does not meet the minimum course requirements set out in this chapter; or
    (2)  the Application for School-Program Certification is not correct or complete; or
    (3)  any agent of the program has been convicted of or granted deferred disposition for, a felony, or a misdemeanor related to theft, fraud or the abuse of alcoholic beverages or controlled substances, and three years have not passed since the discharge of any sentence imposed as a result of the conviction or deferred disposition; or
    (4)  any agent of a privately sponsored program or his/her spouse is an alcoholic beverage licensee or permittee; or
    (5)  any agent of the program violates this chapter or the Alcoholic Beverage Code, §106.14.
 (b)  The administrator or administrator’s designee may, after notice and opportunity for hearing, revoke or suspend approval of any program upon a finding that:
    (1)  the manner in which the program is being, or has been, administered has substantially impaired the effectiveness of the program; or
    (2)  any agent of the program has made a false or misleading statement, report, or representation to the commission regarding the conduct or administration of the program; or
    (3)  any agent of the program has been convicted of or granted deferred disposition for, a felony, or a misdemeanor related to theft, fraud or the abuse of alcoholic beverages or controlled substances and three years have not passed since the discharge of any sentence imposed as a result of the conviction or deferred disposition; or
    (4)  the program has failed to make a timely report or has failed to communicate any information to the Texas Alcoholic Beverage Commission required by this chapter; or
    (5)  any agent of a privately sponsored program or his/her spouse is an alcoholic beverage licensee or permittee; or
    (6)  the program or any agent of the program has failed to timely pay any fees due under this chapter or the Alcoholic Beverage Code; or
    (7)  the program or any agent of the program has made payment for any fees due under this chapter or the Alcoholic Beverage Code by personal or business check that was dishonored when presented for payment; or
    (8)  any agent of the program violates this chapter or the Alcoholic Beverage Code, §106.14; or
    (9)  violation of any order entered by the administrator or administrator’s designee under this rule.
 (c)  The entity administering the program has the right to request a hearing within 21 days after receipt of the notice of denial, revocation or suspension.
 (d)  A person whose school-program certification is revoked under this section may not apply for another certificate under this chapter until one year has elapsed from the date of revocation.
 (e)  The administrator or administrator’s designee may assess a civil penalty in lieu of suspension of the program. The amount of the civil penalty shall be made with consideration of the following factors:
    (1)  the number of trainee certifications issued by the program during the 12 months immediately preceding the violation for which the penalty is to be assessed;
    (2)  the nature and severity of the violation for which the penalty is to be assessed;
    (3)  any aggravating or ameliorating circumstances relating to the violation for which the penalty is to be assessed;
    (4)  the record or past violations by the program or its agents.
 (f)  Notice of denial, revocation or suspension shall be served at the main offices of the applicant or its registered agent for service either by certified mail or by personal service upon any adult agent or employee of the applicant at the said main offices.
 (g)  The amendments to this rule adopted on April 24, 2000, take effect on September 1, 2000.

Note: Amendments Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.6. Application for Trainer Certification.

 (a)  Only trainers holding currently valid certification under this section shall be eligible to teach an approved seller training program. This requirement is not intended to prohibit the use of an uncertified guest instructor who has special expertise in the field which he/she teaches. The certified trainer shall be present during guest instruction and shall remain responsible for training quality.
 (b)  Application for trainer certification shall be made by the person to be certified on forms provided by the commission.
 (c)  Each application shall include certification by an approved seller training program entity or school that the applicant is qualified and competent to teach that seller training program. The renewal applications shall include documentation of the required continuing education hours.
 (d)  An original trainer applicant must have first successfully completed an examination administered by the Texas Alcoholic Beverage Commission, with a minimum correct score of 80%. Trainers who have been approved prior to September 1, 2000 shall be exempt from this initial testing requirement.
 (e)  No licensee or permittee, or his spouse, agent, servant or employee may conduct a seller training program approved under this chapter except as provided in the Texas Alcoholic Beverage Code, §106.14(c) and (d).
 (f)  Each application shall be accompanied by a payment in the amount of $50.
 (g)  Trainers found to be acceptable under this chapter shall be approved in writing by the administrator or administrator’s designee in such form as he may deem to be appropriate.
 (h)  Approval shall be valid for a period of three years unless earlier revoked provided that the trainer has successfully completed a minimum of 12 clock hours of continuing education in related subject courses and/or seminars within the previous three years prior to renewal.
 (i)  The amendments to paragraphs (d), (f), (g) and (h) of this rule, adopted on April 24, 2000, shall become effective on September 1, 2000.

Note: Amendments Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.7. Denial, Revocation or Suspension of Trainer Approval.

 (a)  The administrator or administrator’s designee may deny approval of, revoke, or suspend any trainer upon a finding that:
    (1)  the applicant for a privately sponsored program or his/her spouse is an agent of an alcoholic beverage licensee or permittee; or
    (2)  the Application for Trainer Certification is not correct or complete; or
    (3)  the applicant has been convicted of or granted deferred disposition for, a felony, or a misdemeanor related to theft, fraud or the abuse of alcoholic beverages or controlled substances, and three years have not passed since the discharge of any sentence imposed as a result of the conviction or deferred disposition; or
    (4)  the trainer has violated a provision of this chapter, §106.14 of the Alcoholic Beverage Code, or has failed to take reasonable steps to prevent such violations in classes or programs under his/her direction or control.
 (b)  The administrator or administrator’s designee may, after notice and opportunity for hearing, revoke approval of any trainer upon a finding that:
    (1)  the seller training program entity no longer authorizes the trainer to teach their seller training program; or
    (2)  the trainer no longer qualifies as a trainer under subsection (a) of this section.
 (c)  The trainer has the right to request a hearing within 21 days after receipt of the notice of denial, revocation or suspension.
 (d)  Notice of the denial, revocation or suspension of a trainer certificate or a copy of the revocation shall also be provided to the main offices of the seller training program or the registered agent.
 (e)  The administrator or administrator’s designee may assess a civil penalty in lieu of suspension of the trainer. The amount of the civil penalty shall be made with consideration of the following factors:
    (1)  the number of trainee certifications issued by the program or the trainer during the 12 months immediately preceding the violation of which the penalty is to be assessed;
    (2)  the nature and severity of the violation for which the penalty is to be assessed;
    (3)  any aggravating or ameliorating circumstances relating to the violation for which the penalty is to be assessed;
    (4)  the record of past violations by the trainer.
 (f)  The amendments to this rule, adopted April 24, 2000, shall be effective September 1, 2000.

Note: Amendments Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.8. Trainee Certification.

 (a)  Upon successful completion of an approved seller training program, the trainer shall issue an official certificate to each trainee. All required information shall be completed on the certificate prior to issuance to the trainee for their possession.
 (b)  Each certificate shall be valid for two years.
 (c)  The commission shall require an additional $5.00 for each duplicate certificate issued by the commission. Schools shall not issue replacement certificates.
 (d)  The commission shall maintain a list of currently certified seller trainees by name, social security number, and date of birth.
 (e)  The amendments to paragraphs (a), (c) and (d) of this rule, adopted on April 24, 2000 shall become effective September 1, 2000.

Note: Amendments Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.9. Revocation or Suspension of Trainee Certification.

 (a)  The commission may revoke a trainee certification of an employee if it is found that:
    (1)  the employee has committed a first offense of selling or serving an alcoholic beverage to a minor or intoxicated person and the employee has not been recertified. The employee must be recertified within 30 days. Recertification includes attending and passing an approved seller training program.
    (2)  the employee has committed a second offense, within 12 months, of selling or serving an alcoholic beverage to a minor and/or intoxicated person. The employee cannot be recertified for a period of 90 days. Recertification includes attending and passing an approved seller training program.
    (3)  the employee has committed a third offense, within 12 months, of selling or serving an alcoholic beverage to a minor and/or intoxicated person. The commission may revoke the seller-server certification for a period of one year.
    (4)  the employee provided false identification consisting of, but not limited to, name, social security number, or birth date.
    (5)  the employee did not successfully complete a seller training program.
 (b)  the employee has the right to request a hearing within 21 days after the receipt of the notice of revocation or suspension.
 (c)  This rule shall become effective September 1, 2000.

Note: New Rule Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.10. Licensee/Permittee Exemption from Administrative Action.

 (a)  The commission shall require each licensee/permittee who claims exemption from administrative action under the Texas Alcoholic Beverage Code, §106.14, to produce evidence by affidavit indicating that the licensee/permittee met the three criteria outlined in §106.14(a).
 (b)  The licensee/permittee shall not be deemed to require its employees to attend a commission approved seller-server training program unless employees are required to attend such program within 30 days of their initial employment and each employee’s certification has not expired, been suspended or revoked. The administrator or administrator’s designee may relax the requirements of this paragraph in individual cases for good cause shown by the licensee/permittee claiming exemption.
 (c)  Proof by the commission that an employee or agent of a licensee/permittee sold, delivered or served alcoholic beverages to a minor or intoxicated person, or allowed consumption of same by a minor or intoxicated person, more than twice within a 12-month period, shall constitute prima facie evidence that the licensee/permittee has directly or indirectly encouraged violation of the relevant laws.
 (d)  The following practices constitute prima facie evidence of indirect encouragement of law within the meaning of §106.14(a)(3) of the Alcoholic Beverage Code:
    (1)  subject to the provisions of paragraph (b) above, the licensee/permittee fails to insure that all employees possess currently valid certificates of training issued and maintained in conformity with this chapter;
    (2)  the licensee/permittee fails to adopt, and post within view of its employees, policies and procedures designed to prevent the sale, service or consumption of alcoholic beverages by or to minors and intoxicated persons, and that express a strong commitment by the licensee/permittee to prohibit such sales, service or consumption;
    (3)  the licensee/permittee fails to insure that employees have read and understood the licensee/permittee’s policies and procedures regarding sales, service or consumption of alcoholic beverages by or to minors or intoxicated persons.
 (e)  This rule shall go into effect September 1, 2000.

Note: New Rule Adopted: April 24, 2000; Effective Date: September 1, 2000

§50.11. Mandatory Participation in Server Training.

 (a)  This rule is adopted pursuant to the commission’s authority to enact such rules as are necessary for the public health, peace, safety, temperance, and morals as this authority is expressed in §§1.03 and 5.31 of the Alcoholic Beverage Code.
 (b)  The administrator or administrator’s designee may require by written order that specific licensees/permittees participate in a server training program as created and enacted by §106.14 of the Alcoholic Beverage Code and the provisions of this chapter. Such requirement may be imposed on licensees/permittees that:
    (1)  have violated a provision of the code or rules relating to the sale, service, dispensing or delivery of alcoholic beverages to a minor or intoxicated person more than once in a twelve month period; or
    (2)  has been found, by administrative order or court of competent jurisdiction, to have engaged in conduct directly or indirectly encouraging violations of law within the meaning of §106.14(a)(3) of the Alcoholic Beverage Code.
 (c)  An order issued under this rule shall remain in effect until such time as the licensee/permittee has established 24 continuous months of operation from the date of the last violation without violation of a provision of the code or rules relating to the sale, service, dispensing or delivery of alcoholic beverages to a minor or intoxicated person.
 (d)  A licensee/permittee shall, on request, be granted a hearing prior to the issuance of an order authorized by this rule.
 (e)  This rule shall go into effect September 1, 2000.

Note: New Rule Adopted: April 24, 2000; Effective Date: September 1, 2000